Federal prosecutors in New Jersey have accused six men — including former executives at pharmaceutical company Celgene Corp. and medical-technology firm Stryker Corp. and some of their high-school friends — of passing corporate secrets about their companies and using that information to make profitable trades. The scheme allegedly began in 2007, involved 11 corporate announcements and resulted in more than $1.4 million in illicit profits.

The men allegedly shared corporate secrets at social events and sometimes used code words to describe deals, calling one merger “the fat man,” prosecutors said.

For example, John Lazorchak, a former director of financial reporting at Celgene, allegedly shared information in September 2007 with Mark Cupo, his former boss and an executive at Sanofi-Aventis, about Celgene’s plans to acquire Pharmion Corp.

Mr. Cupo allegedly shared that information with Lawrence Grum, the owner of a spa-supply company who advised a family member to purchase Pharmion stock and purchased stock himself, prosecutors said. Mr. Grum, in a conversation recorded by a cooperating witness in September, allegedly later said he compiled binders of “research” and sent “covering” emails to falsely justify the trades, prosecutors said.

“At the end of the day, the S.E.C.’s got to pick their battle because they have a limited number of people and huge numbers of investors to go after,” Mr. Grum allegedly said.

Separately, Mr. Lazorchak allegedly shared inside information about the deal with several high-school friends, including Mark Foldy, a former marketing executive at Stryker, and Michael Pendolino, a chiropractor, prosecutors said. Both men also allegedly purchase shares ahead of the deal.

Lawyers for the men didn’t immediately respond to requests for comment Monday.

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